RegionsChinaChina’s Online Payments Totalled CNY830 Trillion in 2012

China’s Online Payments Totalled CNY830 Trillion in 2012

Online payment transactions handled by Chinese payment service providers totalled 830 trillion yuan (CNY) – equivalent to around US$134.3 trillion – in 2012, according to an industry report published by the Payment and Clearing Association of China (PCAC).

The report shows that in 2012, Chinese banks handled 19.2bn online payment transactions amounting to CNY823 trillion. A further10.46bn online payment transactions totalling CNY6.89 trillion were handled by other payment agencies last year.

Online transactions are being used not only in traditional areas, such as online shopping and bill-paying, but also in areas related to education, tourism, fund products, insurance, community services and medical and health services, the report stated.

However, experts observed that the increasing variety of payment tools has also caused problems concerning the safety of funds and customer information and called for improved regulation and supervision.

“The payment business is closely linked with people’s daily lives, so customers will be less tolerant of risks,” said PCAC’s deputy secretary-general Kang Lin.

Central bank the People’s Bank of China (PBOC) has so far approved 197 non-financial institutions to provide payment services, of which 72 are eligible for online payment business, PCAC data showed.

The association said that mobile payments, or online payments made through mobile phones, totalling CNY2.31 trillion were handled by banks in 2012, as well as CNY181.2bn in transactions handled by non-bank payment service providers.

Related Articles

China after the national congress – the outlook for the RMB

Capital Markets China after the national congress – the outlook for the RMB

8m Richard Hartung
China’s ‘unsustainable’ debt crisis is an investor's gold mine

China China’s ‘unsustainable’ debt crisis is an investor's gold mine

10m Victoria Beckett
Financial regulators crack down on individual misconduct

China Financial regulators crack down on individual misconduct

11m Graham Buck
China’s sovereign credit rating downgraded by Moody’s

China China’s sovereign credit rating downgraded by Moody’s

1y Graham Buck
De-risking and the decline in correspondent banking

Asia Pacific De-risking and the decline in correspondent banking

1y Henry Balani
London keeps top ranking for offshore RMB FX transactions

Banking London keeps top ranking for offshore RMB FX transactions

1y Graham Buck
IMF upbeat on global financial stability

China IMF upbeat on global financial stability

1y Graham Buck
Drought stress testing tool launched for banks

Banking Drought stress testing tool launched for banks

1y Graham Buck